News & Reviews News Wire Appropriators proposal trims Amtrak fiscal 2025 budget: Analysis

Appropriators proposal trims Amtrak fiscal 2025 budget: Analysis

By Bob Johnston | June 27, 2024

Restrictions on police staffing, overtime maximum also included

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Passenger train passing boarded-up two-story station
Eastbound Wolverine No. 350 flies past the shuttered Ypsilanti, Mich., depot on June 7, 2024. The train is operating only Friday though Sunday until mid-October while midday, midweek trackwork takes place. Though Michigan sponsors Wolverine Corridor operations, all Amtrak state-supported and long-distance service is funded out of National Network appropriations by Congress. Bob Johnston

WASHINGTON — The process that determines how much money Amtrak will receive for the fiscal year beginning Oct. 1, 2024, began Wednesday with release of the U.S. House of Representatives’ Transportation, Housing, and Urban Development Committee’s “Department of Transportation Appropriation Act of 2025.”

Funding levels for the U.S. DOT and its related highway, rail, and air regulatory agencies are prescribed by the majority party, but final spending plans are the product of extensive negotiations with Senate conferees and executive branch officials. Enacted levels for 2024 took almost six months into the fiscal year to finalize after a budget impasse led to a series of continuing resolutions.

Amtrak-related amounts and restrictions on how the money is spent are outlined beginning on page 60 of the 210-page document.

Spending levels have already been proposed in President Biden’s budget and Amtrak’s fiscal 2025 legislative and grant request, which explains reasons for the funding it seeks for both the Northeast Corridor and National Network. The table below compares how much money was made available to Amtrak for each category in fiscal 2023 and 2024 with levels Congress authorized and suggested for 2025.

Table showing Amtrak funding from Congress in fiscal 2023 and 2024, and various requests and proposals for 2025

 

The appropriators’ proposal is about 12% below what was enacted for 2023 and the current fiscal year and off almost 50% from the levels Amtrak outlined in its 2025 request. The biggest discrepancy between what Congress has separately authorized for next year is in National Network investment, which similarly came up about 50% short when the money was doled out in 2024.

An Amtrak statement to Trains News Wire focuses on the reduction from current spending levels.

“The Fiscal Year 2025 House Appropriations Bill proposes a more than $300 million cut for Amtrak compared to the current fiscal year,” the statement reads. “At a time when our customers are asking for more service, and while inflation and cost escalation are making everything more expensive in America, we believe more federal funding is needed for rail, not less. We look forward to continuing to work with Congress throughout the appropriations cycle, and we hope that this level will increase to meet the transportation needs of this country.”

Strings attached

Other stipulations in the appropriation document include:

— Overtime pay is to be limited to an annual maximum of $35,000 for each employee, unless capping that amount poses a risk to safety and reduces operational efficiency, as determined by Amtrak’s president.

— Management cannot reduce police staffing below May 1, 2019, levels.

— No funds can be distributed to California for its high speed rail initiative.

— No money can be spent on enforcing mask mandates.

Additionally, the Federal Railroad Administration is to direct at least $15 million out of its Federal-State Partnership grant program to the Washington Union Station Redevelopment Corp. This is a fraction of the amount of the yet-to-be-funded $8.8 billion station enhancement aiming for completion by 2040 [see “New plan released for redevelopment …,” News Wire May 15, 2023].

During an election year when political control of the U.S. Senate, House, and executive branch are all up for grabs, budget differences will likely not be resolved anytime soon. But the House appropriators’ proposal is the first indication which way the wind is blowing.

4 thoughts on “Appropriators proposal trims Amtrak fiscal 2025 budget: Analysis

  1. Usually I think highly of Bob’s reporting and News Wire’s editing of Capitol Hill stories, but this piece obscures a critical point. All of what is proposed here comes from the Republican majority in the House (and thus the Appropriations Committee). It’s a partisan document in an election year.

    Not until the last paragraph does the article point out that control of the House, Senate, and White House are all up for grabs, and the appropriations process for FY 25 has miles to go. Saying that a highly partisan political document indicates “which way the wind is blowing” in a toss-up year is, to my mind, a bit off-target.

    1. Maybe there would be more money for Amtrak if the Democrats would stop throwing away money by the hundreds of billions on useless programs.

      Which party is responsible for that wharf in Gaza that collapsed?

  2. It’s obvious which Party pushed this agenda. Will there be corresponding & equal cuts to Hwys & Aviation??? More likely increases to both!

    1. It’s obvious that our government (both parties) throws away billions of dollars every day but (going back to Jimmy Carter) both parties nickel and dime Amtrak.

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